Mortgage Loan Origination Software – Which One is The Best For You?

A Mortgage Loan Origination Software (LOS) is one of the many critical tools in a Loan Officer’s toolbox. So, a good LOS is the foundation of an efficient and profitable relationship between a loan officer and a borrower. 

Also, some mortgage officers choose to only use their LOS to prepare 1003s or handle applications. However, a LOS can handle a lot more of your daily tasks, such as: underwriting, credit analysis or document management. An added benefit to some LOS’ is the ability to streamline compliance processes.

So, because of how important your mortgage loan origination software is to your business, choosing the correct one can be daunting–especially considering the number of elements that go into a great LOS and the wide variety of software available to choose from.

So, what factors should you consider when choosing a mortgage loan origination software?

At Jungo, we work with close to 6,000 loan officers and get to chat with thousands more. Also, we strive to provide the best app integrations that a mortgage CRM can offer so loan officers can efficiently use all their mortgage tools available to them. Because of this, we are familiar with which mortgage applications work best for loan origination teams.

So, read on for reviews of the top LOS platforms available, and why one of these might be the perfect foundation for your team to continue to grow your business.

We evaluated the most widely used LOS systems and give you the pros and cons of each. Also, we examine what size company the system would serve best, and what other softwares the platform integrates with. 

Encompass

First up, Ellie Mae’s mortgage loan origination software platform, Encompass, offers a straightforward, web-based service for loan officers. This LOS is especially powerful for large companies, and a wide range of tools reflects this. Also, their website says that Encompass powers more than 40% of residential lending transactions. So, the integrations and easy to use interface are what set them apart.

Pros: 

• Extremely customizable depending on your business’ needs 
• Offers native compliance checks 
• Powerful APIs allow for the largest partner network in the industry
• Built-in document management and digital signatures 
• Supports LOS sync with Jungo CRM

Cons: 

• Users complain about the consistency of Ellie Mae’s data server hosting 
• Higher costs and designed for larger businesses 

Platform integrations: Encompass integrates with Jungo’s CRM, Optimal Blue, Docutech and Dataverify, plus many others. 

Ideal for: Medium to Large Teams 

LendingPad

LendingPad ® is an innovative, web-based LOS offering features such as same-file, multi-user edit capabilities and real-time push updates. So, it streamlines the complex loan origination process by allowing real-time collaboration between borrowers, brokers, lenders, and even service providers. Also, the cloud-based solutions available include end-to-end features such as the borrower portals, MLO app, document management, origination, processing, and fulfillment functionalities. 

Pros: 

• User friendly with custom reporting 
• Easy, one-click integrations
• Accessible from any device
• Quick navigation while speaking with clients

Cons: 

• Users would like to see a more dynamic pipeline
• No direct support for manual underwriters

Platform integrations: LendingPad integrates with Loanzify, Floify, Fannie Mae, Avantus, plus many others. 

Ideal for:  Small to Medium Teams 

Byte

Next, Byte offers three variations of its LOS platform: Online, Standard and Enterprise. Consequently, you’re more likely to only pay for as much software as your team needs. So, Byte’s customers love the customization that they offer, as well as their complete compliance tracking system. 

Pros: 

• Simple and user-friendly interface
• Customization options, including custom document creation
• Automated loan estimates and other sales tools
• Comprehensive compliance with tolerance tracking and audit trails
• Supports LOS Sync with Jungo CRM

Cons: 

• Online comments mentioned some program downtime
• Offers a slightly narrower range of features compared to some other LOS platforms

Platform integrations: Byte integrates with Jungo’s CRM, Optimal Blue, and others through their SDK. 

Ideal for: Small to Medium Teams

Calyx Point

Offering a simple interface that requires a smaller learning curve than some platforms, Calyx also says that their goal is to make the loan origination process smoother. As a result, they say they will give you the ability to close more loans. Also, they offer marketing tools that help LOs create flyers, pre-approval letters, and more.

Pros: 

• Interfaces smoothly with over 200 vendor partners to expedite credit reporting, closing documents and more
• Templates for standardizing borrower files, closing costs and more 
• Marketing tool such as open house flyers, loan comparisons, and pre-approval letters
• Supports LOS sync with Jungo CRM

Cons: 

• Non-cloud based and requires an installed computer-based application 
• Some users point out that the dated interface is lacking visual appeal

Platform integrations: Calyx Point integrates with Jungo CRM, CoreLogic, DocuTech, Optimal Blue, and many more. 

Ideal for: Small to Medium Teams

Velocity

Velocity manages all elements of the mortgage business in one integrated and automated system. So, with a complete range of hosted and licensed systems solutions, it is capable of achieving seamless, straight-through processing of mortgage applications from initial customer enquiry to final mortgage advance. Plus, it helps organize all key data and documents, provides workflow reminders, and prioritizes daily tasks. Also, Velocity is only available to Canadian customers.

Pros: 

• Designed by mortgage brokers
• Handles the entire mortgage approval process
• Gives complete view of business from data entry to completion
• Cloud-based
• Aims to reduce cost, time, and inefficiencies

Cons: 

• Only available in Canada
• Slight learning curve

Ideal for: Small to Medium Teams

So, make a wish list of not just what you need, but what will help you be a top producer. Also, above all, shop carefully, and compare your mortgage loan origination software options.

Clearly, there’s a great mortgage loan origination software out there for you!